By Krista Vermeer
Often, acting as an executor or liquidator requires confusing formalities while the family is grieving. Here are some helpful tips.
Acting as an executor or liquidator often involves dealing with confusing formalities while the family is grieving. “It’s a lot more demanding than you might think, and we often underestimate the amount of work involved in this task,” says Lynne Butler, estate lawyer, consultant, blogger, and author of 10 planning books. Inheritance.
Here are some valuable tips for anyone taking on the task of executor or liquidator:
- Know what you’re getting into
Know how much paperwork you will need to complete and your legal responsibilities to avoid any unpleasant surprises. Depending on the estate, executives or liquidators may have up to 70 pieces of paperwork to complete. These formalities include the analysis of insurance contracts, the closing of accounts, the inventory of debts, taxes, fees, and their settlement, as well as the distribution of assets to heirs. In addition, you could be held personally liable if you make a mistake that results in a loss of profits. Therefore, it is better to know what will be required of you before accepting this task so that you are not disheartened by all that it needs.
How to choose a liquidator
- Keep the lines of communication open
Settling an estate can create family tensions or aggravate disagreements. The executor or liquidator should regularly speak with heirs and family members to ensure they understand the process and thus prevent any potential conflict of interest. “People often complain that they can’t get any information from the executor or the liquidator,” explains Ms. Butler, a lawyer who acted as an executor. I always tell executors or liquidators not to hide what they are doing, or people will make assumptions or be suspicious.” - Execute the will as is
It may seem obvious, but sometimes the executor or liquidator may be tempted to modify certain unpopular or inconvenient parts of the will to include provisions he considers fairer. We must not forget that his role consists in distributing the estate in the manner indicated in the choice.
